Oil prices pull back as U.S. factory data intensifies demand concerns | Reuters
Oil prices pulled back after touching multi-year highs on Monday, trading mixed as U.S. industrial output for September fell, tempering early enthusiasm about demand.
Production at U.S. factories fell by the most in seven months in September as an ongoing global shortage of semiconductors depressed motor vehicle output, further evidence that supply constraints were hampering economic growth. read more
"The oil market started off with a lot of exuberance, but weak data on U.S. industrial production caused people to lose confidence in demand, and China released data that intensified those worries," said Phil Flynn, senior analyst at Price Futures Group in New York.
Brent crude oil futures settled down 53 cents or 0.6% at $84.33 a barrel after hitting $86.04, their highest since October 2018.
U.S. West Texas Intermediate (WTI) crude settled 16 cents higher, or 0.19%, at $82.44 a barrel, after hitting $83.87, their highest since October 2014.
Both contracts rose by at least 3% last week.
Monday 18 October 2021
#AbuDhabi's Azimut and Gellify launch $50mln VC fund for MENA start-ups | ZAWYA MENA Edition
Abu Dhabi's Azimut and Gellify launch $50mln VC fund for MENA start-ups | ZAWYA MENA Edition
Azimut ME Limited, in partnership with innovation platform Gellify Middle East, is setting up a $50 million venture capital fund focused on business-to-business (B2B) start-ups in the MENA region.
The Azimut Gellify Mena VC Fund will invest in seed-stage and market-phase start-ups, and those ready to scale up, the companies said on Monday.
The Abu Dhabi-based Azimut is a subsidiary of European asset manager Azimut.
The start-ups will have the potential to disrupt sectors such as smart cities, health care, digital commerce, FinTech, the Fourth Industrial Revolution and tourism through the use of advanced technology such as artificial intelligence, the Internet of Things, blockchain and cyber security, it said.
“We aim to replicate our experience in Europe where we have made successful exits and, in the process, enhance the innovation capacity of the region,” said Massimo Cannizzo, chief executive and co-founder of Gellify Middle East.
In 2019 Azimut and Gellify raised EUR65 million for the Digitech Fund—a VC strategy predominantly focusing on European startups.
Azimut ME Limited, in partnership with innovation platform Gellify Middle East, is setting up a $50 million venture capital fund focused on business-to-business (B2B) start-ups in the MENA region.
The Azimut Gellify Mena VC Fund will invest in seed-stage and market-phase start-ups, and those ready to scale up, the companies said on Monday.
The Abu Dhabi-based Azimut is a subsidiary of European asset manager Azimut.
The start-ups will have the potential to disrupt sectors such as smart cities, health care, digital commerce, FinTech, the Fourth Industrial Revolution and tourism through the use of advanced technology such as artificial intelligence, the Internet of Things, blockchain and cyber security, it said.
“We aim to replicate our experience in Europe where we have made successful exits and, in the process, enhance the innovation capacity of the region,” said Massimo Cannizzo, chief executive and co-founder of Gellify Middle East.
In 2019 Azimut and Gellify raised EUR65 million for the Digitech Fund—a VC strategy predominantly focusing on European startups.
Aramco Oil Pipeline Investors Ready Multi-Billion Dollar Bond - Bloomberg
Aramco Oil Pipeline Investors Ready Multi-Billion Dollar Bond - Bloomberg
A group of investors in Saudi Aramco’s oil pipelines is preparing to sell billions of dollars of bonds as soon as this week, according to people familiar with the matter.
The consortium, led by Washington-based EIG Global Energy Partners, may raise at least $4.5 billion, three of the people said.
Citigroup Inc. and JPMorgan Chase & Co. will be among the banks managing the sale, the people said, asking not to be named because the matter is private. The debt will be used to refinance a loan of about $10.5 billion taken on to fund the pipeline investment.
EIG didn’t immediately respond to a request for comment. Aramco declined to comment.
China’s Silk Road Fund and Abu Dhabi sovereign wealth fund Mubadala Investment Co. were also part of the consortium. It paid $12.4 billion for a 49% stake in an Aramco subsidiary that has leasing rights over the pipelines. The deal was completed in June.
Big Spender
Aramco Oil Pipelines has rights to 25 years of tariff payments for flows through the state energy giant’s network.
The word’s largest oil company is looking for new ways to raise cash to maintain a $75 billion dividend and complete huge investment plans. Over the coming decade Aramco is developing the multi-billion dollar Jafurah natural-gas field, expanding its oil-production capacity to 13 million barrels a day and investing in hydrogen production.
It’s also selling a stake in its gas pipelines. Brookfield Asset Management Inc. and Italian energy infrastructure operator Snam SpA were among the companies to place first-round bids.
A group of investors in Saudi Aramco’s oil pipelines is preparing to sell billions of dollars of bonds as soon as this week, according to people familiar with the matter.
The consortium, led by Washington-based EIG Global Energy Partners, may raise at least $4.5 billion, three of the people said.
Citigroup Inc. and JPMorgan Chase & Co. will be among the banks managing the sale, the people said, asking not to be named because the matter is private. The debt will be used to refinance a loan of about $10.5 billion taken on to fund the pipeline investment.
EIG didn’t immediately respond to a request for comment. Aramco declined to comment.
China’s Silk Road Fund and Abu Dhabi sovereign wealth fund Mubadala Investment Co. were also part of the consortium. It paid $12.4 billion for a 49% stake in an Aramco subsidiary that has leasing rights over the pipelines. The deal was completed in June.
Big Spender
Aramco Oil Pipelines has rights to 25 years of tariff payments for flows through the state energy giant’s network.
The word’s largest oil company is looking for new ways to raise cash to maintain a $75 billion dividend and complete huge investment plans. Over the coming decade Aramco is developing the multi-billion dollar Jafurah natural-gas field, expanding its oil-production capacity to 13 million barrels a day and investing in hydrogen production.
It’s also selling a stake in its gas pipelines. Brookfield Asset Management Inc. and Italian energy infrastructure operator Snam SpA were among the companies to place first-round bids.
#AbuDhabi outperforms Gulf markets; Saudi retreats | Reuters
Abu Dhabi outperforms Gulf markets; Saudi retreats | Reuters
Most stock markets in the Gulf ended higher on Monday, mirroring strong oil prices, although the Saudi index snapped a four-day winning streak on profit taking.
Oil prices hit multi-year highs buoyed by recovering demand and high natural gas and coal prices encouraging users to switch to fuel oil and diesel for power generation.
Saudi Arabia's benchmark index (.TASI) eased 0.1%, hit by a 1.5% fall in petrochemical maker Saudi Basic Industries (2010.SE) and a 4.8% decline in Yanbu National Petrochemicals Co (Yansab) (2290.SE).
Yansab reported a quarterly net profit of 179.8 million riyals ($47.94 million), down from 195.6 million riyals a year earlier.
Investors tried to secure their gains after the main index surpassed its 2008 peak briefly yesterday, said Wael Makarem senior market strategist at Exness.
"The Saudi market could see some price corrections as investors take their profits before rejoining the uptrend."
In Abu Dhabi, the index (.ADI) added 0.7%, buoyed by a 1.9% rise in the country's largest lender First Abu Dhabi Bank (FAB.AD) and a 0.5% increase in Emirates Telecommunications Group (ETISALAT.AD).
Dubai's main share index (.DFMGI) gained 0.5%, with blue-chip developer Emaar Properties (EMAR.DU) closing 1% higher and diversified investment group Dubai Investments (DINV.DU) advancing 2.4%.
The United Arab Emirates on Sunday recorded a drop in daily COVID-19 cases to below 100 for the first time since the start of the outbreak last year as it hosts a huge world fair to which it hopes to attract millions of visits. read more
The Qatari benchmark (.QSI) gave up early gains to finish 0.1% lower, driven down by a 0.9% drop in Qatar National Bank (QNBK.QA).
However, the index's losses were limited by gains at sharia-compliant lender Masraf Al Rayan (MARK.QA), which climbed 1.7% ahead of its earnings announcement.
Egypt's blue-chip index (.EGX30) concluded 1.1% higher, extending gains for a ninth session, with top lender Commercial International Bank (COMI.CA) climbing 1.9%.
Egypt will mandate that public sector employees must either be vaccinated against COVID-19 or take a weekly coronavirus test to be allowed to work in government buildings after Nov. 15, a cabinet statement said on Sunday.
** Bahrain was closed for a public holiday
Most stock markets in the Gulf ended higher on Monday, mirroring strong oil prices, although the Saudi index snapped a four-day winning streak on profit taking.
Oil prices hit multi-year highs buoyed by recovering demand and high natural gas and coal prices encouraging users to switch to fuel oil and diesel for power generation.
Saudi Arabia's benchmark index (.TASI) eased 0.1%, hit by a 1.5% fall in petrochemical maker Saudi Basic Industries (2010.SE) and a 4.8% decline in Yanbu National Petrochemicals Co (Yansab) (2290.SE).
Yansab reported a quarterly net profit of 179.8 million riyals ($47.94 million), down from 195.6 million riyals a year earlier.
Investors tried to secure their gains after the main index surpassed its 2008 peak briefly yesterday, said Wael Makarem senior market strategist at Exness.
"The Saudi market could see some price corrections as investors take their profits before rejoining the uptrend."
In Abu Dhabi, the index (.ADI) added 0.7%, buoyed by a 1.9% rise in the country's largest lender First Abu Dhabi Bank (FAB.AD) and a 0.5% increase in Emirates Telecommunications Group (ETISALAT.AD).
Dubai's main share index (.DFMGI) gained 0.5%, with blue-chip developer Emaar Properties (EMAR.DU) closing 1% higher and diversified investment group Dubai Investments (DINV.DU) advancing 2.4%.
The United Arab Emirates on Sunday recorded a drop in daily COVID-19 cases to below 100 for the first time since the start of the outbreak last year as it hosts a huge world fair to which it hopes to attract millions of visits. read more
The Qatari benchmark (.QSI) gave up early gains to finish 0.1% lower, driven down by a 0.9% drop in Qatar National Bank (QNBK.QA).
However, the index's losses were limited by gains at sharia-compliant lender Masraf Al Rayan (MARK.QA), which climbed 1.7% ahead of its earnings announcement.
Egypt's blue-chip index (.EGX30) concluded 1.1% higher, extending gains for a ninth session, with top lender Commercial International Bank (COMI.CA) climbing 1.9%.
Egypt will mandate that public sector employees must either be vaccinated against COVID-19 or take a weekly coronavirus test to be allowed to work in government buildings after Nov. 15, a cabinet statement said on Sunday.
** Bahrain was closed for a public holiday
Oil prices climb as COVID recovery, power generators stoke demand | Reuters
Oil prices climb as COVID recovery, power generators stoke demand | Reuters
Oil prices hit multi-year highs on Monday buoyed by recovering demand and high natural gas and coal prices encouraging users to switch to fuel oil and diesel for power generation.
Brent crude oil futures were up 81 cents, or 1%, to $85.67 a barrel by 1220 GMT, after hitting $86.04, their highest level since October 2018.
U.S. West Texas Intermediate (WTI) crude futures climbed $1.23, or 1.5%, to $83.51 a barrel, after hitting $83.73, their highest since October 2014.
Both contracts rose by at least 3% last week.
"Easing restrictions around the world are likely to help the recovery in fuel consumption," analysts at ANZ bank said in a note, adding that gas-to-oil switching for power generation alone could boost demand by as much as 450,000 barrels per day in the fourth quarter.
Oil prices hit multi-year highs on Monday buoyed by recovering demand and high natural gas and coal prices encouraging users to switch to fuel oil and diesel for power generation.
Brent crude oil futures were up 81 cents, or 1%, to $85.67 a barrel by 1220 GMT, after hitting $86.04, their highest level since October 2018.
U.S. West Texas Intermediate (WTI) crude futures climbed $1.23, or 1.5%, to $83.51 a barrel, after hitting $83.73, their highest since October 2014.
Both contracts rose by at least 3% last week.
"Easing restrictions around the world are likely to help the recovery in fuel consumption," analysts at ANZ bank said in a note, adding that gas-to-oil switching for power generation alone could boost demand by as much as 450,000 barrels per day in the fourth quarter.
First nine months of 2021 show MENA M&A activity hitting $68.6bln: Refinitiv | ZAWYA MENA Edition
First nine months of 2021 show MENA M&A activity hitting $68.6bln: Refinitiv | ZAWYA MENA Edition
Mergers and acquisitions (M&A) announced during the first nine months of 2021 with some degree of MENA involvement totaled $68.6 billion, a 17 percent increase from the same period last year and just $660 million short of the full-year total last year, according to global data provider, Refinitiv.
M&A involving a MENA target reached $46.8 billion, up 2 percent compared to the same period last year, and the highest number of deals on record in the first nine months of a year.
The largest M&A with a MENA target this year is the $12.4 billion deal of Saudi oil producer Aramco selling a 49 percent stake in its pipelines business to the US based EIG Global Energy Partners, the data provider said in a report.
A newly formed unit called Aramco Oil Pipelines Company will lease usage rights in the Saudi oil giant’s stabilized crude oil pipelines network for 25 years.
M&A involving a MENA target reached $46.8 billion, up 2 percent compared to the same period last year, and the highest number of deals on record in the first nine months of a year.
The largest M&A with a MENA target this year is the $12.4 billion deal of Saudi oil producer Aramco selling a 49 percent stake in its pipelines business to the US based EIG Global Energy Partners, the data provider said in a report.
A newly formed unit called Aramco Oil Pipelines Company will lease usage rights in the Saudi oil giant’s stabilized crude oil pipelines network for 25 years.
National Bank of #Kuwait's Q3 net profit up 63% to $312mln | ZAWYA MENA Edition
National Bank of Kuwait's Q3 net profit up 63% to $312mln | ZAWYA MENA Edition
National Bank of Kuwait, the country's biggest lender, on Monday reported a 63 percent surge in third-quarter net profit, as the economy recovered from the pandemic-imposed restrictions and business confidence lifted.
For the quarter, it made a net profit of 94.1 million dinar ($311.8 million), up from 57.6 million dinar it made in the year-ago period, NBK said in a statement on Monday.
For the nine-month period ended September 30, the lender saw a 51 percent rise in net profit to 254.8 million dinars compared with 168.7 million dinars in the previous period.
Total loans and advances grew by 7.5 percent year-on-year to 19 billion dinar while customer deposits fell slightly to 17.4 billion dinars.
NBK group chairman Nasser Al-Sayer said he expected rising consumer spending and growth in household credit, one of the main drivers of Kuwait’s economic recovery, to continue.
He added that the ongoing national dialogue between the government and the parliament "in a bid to lessen tensions and resolve legislative impasse may improve economic reform prospects; including restructuring the public sector, expediting the privatization process and paving the way for crucial approval of several laws."
National Bank of Kuwait, the country's biggest lender, on Monday reported a 63 percent surge in third-quarter net profit, as the economy recovered from the pandemic-imposed restrictions and business confidence lifted.
For the quarter, it made a net profit of 94.1 million dinar ($311.8 million), up from 57.6 million dinar it made in the year-ago period, NBK said in a statement on Monday.
For the nine-month period ended September 30, the lender saw a 51 percent rise in net profit to 254.8 million dinars compared with 168.7 million dinars in the previous period.
Total loans and advances grew by 7.5 percent year-on-year to 19 billion dinar while customer deposits fell slightly to 17.4 billion dinars.
NBK group chairman Nasser Al-Sayer said he expected rising consumer spending and growth in household credit, one of the main drivers of Kuwait’s economic recovery, to continue.
He added that the ongoing national dialogue between the government and the parliament "in a bid to lessen tensions and resolve legislative impasse may improve economic reform prospects; including restructuring the public sector, expediting the privatization process and paving the way for crucial approval of several laws."
#Saudi fast-food franchise operator Alamar Foods considers IPO, sources say | Reuters
Saudi fast-food franchise operator Alamar Foods considers IPO, sources say | Reuters
Saudi Arabia's Alamar Foods, the regional franchise operator for Domino's Pizza (DPZ.N), is considering an initial public offering (IPO) that would allow The Carlyle Group (CG.O) sell some of its stake, three sources familiar with the matter said.
Alamar Foods has hired HSBC (HSBA.L) to arrange the share sale, the sources told Reuters. They said deliberations were at an early stage and no final decision had been made.
Alamar Foods did not immediately respond to a request for comment. HSBC declined to comment. Carlyle, which has $276 billion in assets under management and holds 42% of Alamar, did not respond to a request for comment.
Alamar is the master operator for the U.S. pizza chain, with 455 stores in the Middle East, North Africa and Pakistan. It also has the franchise rights for U.S. chain Dunkin' Donuts in North Africa.
Saudi Arabia's Alamar Foods, the regional franchise operator for Domino's Pizza (DPZ.N), is considering an initial public offering (IPO) that would allow The Carlyle Group (CG.O) sell some of its stake, three sources familiar with the matter said.
Alamar Foods has hired HSBC (HSBA.L) to arrange the share sale, the sources told Reuters. They said deliberations were at an early stage and no final decision had been made.
Alamar Foods did not immediately respond to a request for comment. HSBC declined to comment. Carlyle, which has $276 billion in assets under management and holds 42% of Alamar, did not respond to a request for comment.
Alamar is the master operator for the U.S. pizza chain, with 455 stores in the Middle East, North Africa and Pakistan. It also has the franchise rights for U.S. chain Dunkin' Donuts in North Africa.
Fertiglobe Set to Price #AbuDhabi IPO at Top End of Price Range - Bloomberg
Fertiglobe Set to Price Abu Dhabi IPO at Top End of Price Range - Bloomberg
Fertiglobe Holding’s initial public offering is set to price at the top end of an initial range, raising as much as $830 million in what will be Abu Dhabi’s third-largest listing.
State-owned Abu Dhabi National Oil Co., and OCI NV may sell shares in Fertiglobe at 2.65 dirhams ($0.72) each, according to terms seen by Bloomberg on Monday. The initial range was set at 2.45 dirhams to 2.65 dirhams and attracted enough demand to cover the books at the top end on the first day.
Adnoc and OCI are offering 13.8% of Fertiglobe in the IPO that comes as the business booms, thanks in part to a natural-gas shortage hurting rivals in Europe. The firm will be valued at $6 billion.
Fertiglobe’s listing is the latest in a string of Middle Eastern IPOs that have attracted billions in orders. Adnoc’s drilling unit surged on trading debut earlier this month, after raising ($1.1 billion) in the emirate’s biggest ever listing. The listing drew orders worth $34 billion.
In neighboring Riyadh, ACWA Power International and Saudi Telecom Co.’s internet-services unit sold shares last month at the top end of their initial range.
Fertiglobe Holding’s initial public offering is set to price at the top end of an initial range, raising as much as $830 million in what will be Abu Dhabi’s third-largest listing.
State-owned Abu Dhabi National Oil Co., and OCI NV may sell shares in Fertiglobe at 2.65 dirhams ($0.72) each, according to terms seen by Bloomberg on Monday. The initial range was set at 2.45 dirhams to 2.65 dirhams and attracted enough demand to cover the books at the top end on the first day.
Adnoc and OCI are offering 13.8% of Fertiglobe in the IPO that comes as the business booms, thanks in part to a natural-gas shortage hurting rivals in Europe. The firm will be valued at $6 billion.
Fertiglobe’s listing is the latest in a string of Middle Eastern IPOs that have attracted billions in orders. Adnoc’s drilling unit surged on trading debut earlier this month, after raising ($1.1 billion) in the emirate’s biggest ever listing. The listing drew orders worth $34 billion.
In neighboring Riyadh, ACWA Power International and Saudi Telecom Co.’s internet-services unit sold shares last month at the top end of their initial range.
#AbuDhabi's Mubadala Capital leads Huboo Fulfilment's $82mln funding round | ZAWYA MENA Edition
Abu Dhabi's Mubadala Capital leads Huboo Fulfilment's $82mln funding round | ZAWYA MENA Edition
Mubadala Capital, an asset management subsidiary of Abu Dhabi's sovereign investor Mubadala led a Series B funding round in Huboo Fulfilment, the UK-based logistics start-up, closing at $82 million in investments.
This investment will help drive Huboo’s expansion plans across continental Europe, Mubadala said on Twitter on Monday.
Huboo said in a statement it plans to roll out their first Spanish fulfilment centre in Madrid having already opened its first mainland European base in Eindhoven, The Netherlands.
The round led by Mubadala Capital was joined by existing investors including Stride, Ada Ventures, Hearst Ventures, Episode 1 and Maersk Growth. This takes Huboo’s total funding raised to nearly £80 million ($104 million) since April 2019.
"As more businesses move online, Huboo’s software enables e-commerce businesses of all sizes to manage and ship their inventory with a single tool, bringing flexibility, speed & affordability to the process," Mubadala said.
Huboo’s end-to-end order fulfillment service provides merchants with a full-stack solution that includes an intuitive and easy-to-use merchant platform integrating multiple online sales channels and markets, an in-house developed warehouse management software, and a network of warehouses split into highly efficient micro-hubs.
Mubadala Capital, an asset management subsidiary of Abu Dhabi's sovereign investor Mubadala led a Series B funding round in Huboo Fulfilment, the UK-based logistics start-up, closing at $82 million in investments.
This investment will help drive Huboo’s expansion plans across continental Europe, Mubadala said on Twitter on Monday.
Huboo said in a statement it plans to roll out their first Spanish fulfilment centre in Madrid having already opened its first mainland European base in Eindhoven, The Netherlands.
The round led by Mubadala Capital was joined by existing investors including Stride, Ada Ventures, Hearst Ventures, Episode 1 and Maersk Growth. This takes Huboo’s total funding raised to nearly £80 million ($104 million) since April 2019.
"As more businesses move online, Huboo’s software enables e-commerce businesses of all sizes to manage and ship their inventory with a single tool, bringing flexibility, speed & affordability to the process," Mubadala said.
Huboo’s end-to-end order fulfillment service provides merchants with a full-stack solution that includes an intuitive and easy-to-use merchant platform integrating multiple online sales channels and markets, an in-house developed warehouse management software, and a network of warehouses split into highly efficient micro-hubs.
Morgan Stanley Puts Buoyant #Saudi Stocks Back on the Buy List - Bloomberg
Morgan Stanley Puts Buoyant Saudi Stocks Back on the Buy List - Bloomberg
The sustained rally in Saudi stocks over the last 18 months has led Morgan Stanley analysts to concede they got it wrong.
“MSCI Saudi Arabia has been the best performing major country -- in the world -- this year and was also one of the best performing last year,” Morgan Stanley analysts wrote in a note on Monday, double upgrading their recommendation on the country to overweight. “Having been underweight since May 2020, we’ve clearly gotten this one wrong.”
The benchmark Tadawul All Share Index has surged to its highest since 2006 on the back of soaring oil prices and amid increased retail trading activity. Still, the index remains 42% below its record high of 2006, when efforts by the government to use capital markets to help redistribute oil wealth went some way to fueling a speculative bubble driven mostly by retail traders.
Morgan Stanley now thinks high Saudi valuations are here to stay as the market is more driven by earnings, which are forecast to grow. The analysts also note that while foreign positioning in the country remains low, it has started to pick up.
Saudi Arabia has “one of the strongest transmission mechanisms of higher oil prices into economic activity of any EEMEA country,” and its growth outlook seems structural and likely to last for several years, the analysts wrote in a broader note about the region, saying it’s poised to be a beneficiary of higher commodity prices.
The analysts think banks are the best play in the country. Financials and materials stocks have been the best performers on the MSCI Saudi Arabia index this year.
The sustained rally in Saudi stocks over the last 18 months has led Morgan Stanley analysts to concede they got it wrong.
“MSCI Saudi Arabia has been the best performing major country -- in the world -- this year and was also one of the best performing last year,” Morgan Stanley analysts wrote in a note on Monday, double upgrading their recommendation on the country to overweight. “Having been underweight since May 2020, we’ve clearly gotten this one wrong.”
The benchmark Tadawul All Share Index has surged to its highest since 2006 on the back of soaring oil prices and amid increased retail trading activity. Still, the index remains 42% below its record high of 2006, when efforts by the government to use capital markets to help redistribute oil wealth went some way to fueling a speculative bubble driven mostly by retail traders.
Morgan Stanley now thinks high Saudi valuations are here to stay as the market is more driven by earnings, which are forecast to grow. The analysts also note that while foreign positioning in the country remains low, it has started to pick up.
Saudi Arabia has “one of the strongest transmission mechanisms of higher oil prices into economic activity of any EEMEA country,” and its growth outlook seems structural and likely to last for several years, the analysts wrote in a broader note about the region, saying it’s poised to be a beneficiary of higher commodity prices.
The analysts think banks are the best play in the country. Financials and materials stocks have been the best performers on the MSCI Saudi Arabia index this year.
Major Gulf bourses gain in early trade; #Saudi falls | Reuters
Major Gulf bourses gain in early trade; Saudi falls | Reuters
Most major stock markets in the Gulf rose in early trade on Monday with higher oil prices, while the Saudi index retreated, threatening to end a four-day winning streak.
Oil prices hit their highest level in years as demand recovers from the COVID-19 pandemic, boosted by more custom from power generators turning away from expensive gas and coal to fuel oil and diesel.
Saudi Arabia's benchmark index (.TASI) fell 0.4%, weighed down by a 1.4% drop in petrochemical maker Saudi Basic Industries (2010.SE) and a 4.8% slide in Yanbu National Petrochemicals Co (Yansab) (2290.SE).
Yansab reported a quarterly net profit of 179.8 million riyals ($47.94 million), down from 195.6 million riyals a year earlier.
Dubai's main share index (.DFMGI) added 0.2%, helped by a 0.5% rise in blue-chip developer Emaar Properties (EMAR.DU) and a 1.6% rise in logistic firm Aramex (ARMX.DU).
In Abu Dhabi, the index (.ADI) gained 0.3%, with the country's largest lender First Abu Dhabi Bank (FAB.AD) adding 0.7%, while Response Plus Holding (RPM.AD) climbed 1.5% after swinging to a quarterly profit.
The United Arab Emirates on Sunday recorded a drop in daily COVID-19 cases to below 100 for the first time since the start of the outbreak last year as it hosts a huge world fair to which it hopes to attract millions of visits. read more
The Qatari benchmark (.QSI) inched 0.1% higher, with sharia-compliant lender Masraf Al Rayan (MARK.QA) rising 1.1% and Qatar Islamic Bank (QIB) (QISB.QA) adding 0.2%.
On Sunday, QIB reported a net profit of 2.53 billion riyals ($694.75 million) for the nine months ended Sept. 30, a 13.9% increase compared to same period year before.
Most major stock markets in the Gulf rose in early trade on Monday with higher oil prices, while the Saudi index retreated, threatening to end a four-day winning streak.
Oil prices hit their highest level in years as demand recovers from the COVID-19 pandemic, boosted by more custom from power generators turning away from expensive gas and coal to fuel oil and diesel.
Saudi Arabia's benchmark index (.TASI) fell 0.4%, weighed down by a 1.4% drop in petrochemical maker Saudi Basic Industries (2010.SE) and a 4.8% slide in Yanbu National Petrochemicals Co (Yansab) (2290.SE).
Yansab reported a quarterly net profit of 179.8 million riyals ($47.94 million), down from 195.6 million riyals a year earlier.
Dubai's main share index (.DFMGI) added 0.2%, helped by a 0.5% rise in blue-chip developer Emaar Properties (EMAR.DU) and a 1.6% rise in logistic firm Aramex (ARMX.DU).
In Abu Dhabi, the index (.ADI) gained 0.3%, with the country's largest lender First Abu Dhabi Bank (FAB.AD) adding 0.7%, while Response Plus Holding (RPM.AD) climbed 1.5% after swinging to a quarterly profit.
The United Arab Emirates on Sunday recorded a drop in daily COVID-19 cases to below 100 for the first time since the start of the outbreak last year as it hosts a huge world fair to which it hopes to attract millions of visits. read more
The Qatari benchmark (.QSI) inched 0.1% higher, with sharia-compliant lender Masraf Al Rayan (MARK.QA) rising 1.1% and Qatar Islamic Bank (QIB) (QISB.QA) adding 0.2%.
On Sunday, QIB reported a net profit of 2.53 billion riyals ($694.75 million) for the nine months ended Sept. 30, a 13.9% increase compared to same period year before.
Oil prices climb as COVID recovery, power generators stoke demand | Reuters
Oil prices climb as COVID recovery, power generators stoke demand | Reuters
Oil prices hit their highest level in years on Monday as demand recovers from the COVID-19 pandemic, boosted by more custom from power generators turning away from expensive gas and coal to fuel oil and diesel.
Brent crude oil futures rose 63 cents, or 0.7%, to $85.49 a barrel by 0645 GMT, after hitting a session-high of $86.04, the highest price since October 2018.
U.S. West Texas Intermediate (WTI) crude futures climbed 95 cents, or 1.2%, to $83.23 a barrel, after hitting a session-high of $83.73, highest since October 2014.
Both contracts rose by at least 3% last week.
Oil prices hit their highest level in years on Monday as demand recovers from the COVID-19 pandemic, boosted by more custom from power generators turning away from expensive gas and coal to fuel oil and diesel.
Brent crude oil futures rose 63 cents, or 0.7%, to $85.49 a barrel by 0645 GMT, after hitting a session-high of $86.04, the highest price since October 2018.
U.S. West Texas Intermediate (WTI) crude futures climbed 95 cents, or 1.2%, to $83.23 a barrel, after hitting a session-high of $83.73, highest since October 2014.
Both contracts rose by at least 3% last week.